assingment14-15

Assingment14-15 - 6 a 92*3=276/5=$55.20 per share 55.20/92=6 400,000.6=240,000 Outstanding Shares b 92.15= 13.80 92-13.80= $78.20 per share

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Brineydi Peralta FIN 201 Assignment Chapt 14-15 April 11, 2010 Critical Thinking 14.4 The Ex-dividend date is 2 days before Wednesday, January 3. If a shareholder buys stock before that day the buyer, get the dividends because dividends are paid to the list of shareholders who hold stock on the record date and the buyer bought before that they so they would be on record for the date. Problem 4. a. 725,000/35=20,714 *.10=2,071 shares more would be distribute The equity account would not change what would change is that each share of stock is worth 10% less. b. 20,715*.25=5,178 once again the account doesn’t change what does change is that each share of stock is worth 25 % less.
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Unformatted text preview: 6. a. 92*3=276/5=$55.20 per share 55.20/92=6% 400,000*.6=240,000 Outstanding Shares b. 92*.15= 13.80 92-13.80= $78.20 per share 400,000*.15=60,000 Outstanding Shares c. 92*.425= 39.10 92-39.10= $52.90 per share 4000,000* .425=170,000 d. 92*7=644/4=$161 per share 161/92= 175% 400,000*1.75=700,000 -400,000= 300,000 Outstanding shares Critical Thinking 15.2 The cost of selling equity is larger than selling debt because selling equity has a higher weighted risk since they don’t know the projected return. 2. 45*.08= 3.6 45-3.6= 41.4 80,000,000/41.4=1,932,367 shares to be sold...
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This note was uploaded on 10/08/2010 for the course MAT 109 taught by Professor Michael during the Spring '10 term at Peirce.

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Assingment14-15 - 6 a 92*3=276/5=$55.20 per share 55.20/92=6 400,000.6=240,000 Outstanding Shares b 92.15= 13.80 92-13.80= $78.20 per share

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